1. Technical Field of the Invention
The present invention relates to real-time, automated marketing programs implementing one or more program rules matrix modules that calculate benefits to customers based on one or more customer identifier(s), one or more merchant identifier(s) and one or more customer behavior(s). In one embodiment, program rules matrix modules implement Award Accelerator Programs (AAPs) that award benefits in an accelerated or decelerated fashion, based upon one or more qualifying customer identifier(s), merchant identifier(s), and customer behavior(s). Marketing programs are implemented using a host controller that communicates with a plurality of remote transaction systems to provide real-time, individualized, automated awards and sophisticated multi-variable analysis of transaction data. Another aspect of the present invention relates to systems and methods implementing a plurality of marketing programs, offered by a plurality of merchants or merchant groups, upon presentation of a qualifying identifier, such as a (single) transaction card. Yet another aspect of the present invention provides methods and systems enabling a “single-step” transaction, wherein data required to determine eligibility for a marketing program and data required to initiate payment processing is acquired in a single step, such as a single electronic reading of a transaction card.
2. Description of Prior Art
Incentive and loyalty programs have been developed as an integral feature of database marketing with the objective of increasing customer satisfaction and retention, and promoting repeat business. Businesses can deliver offers and rewards to the most appropriate customers and, in some instances, rewards may be credited and redeemed in real-time while customers are at the point-of-transaction. In general, loyalty marketing programs track the transactions of participating members at various individual merchants or at predetermined groups of merchants. When a participating member has satisfied certain criteria, such as attaining a certain number of purchases or dollar value of purchases, the member qualifies for an award, which typically involves redeeming accumulated points for purchase discounts or merchandise.
Various types of travel incentive programs are popular. In frequent flyer programs, for example, mileage points are awarded in relation to the mileage flown. Many airlines additionally have arrangements with other businesses, such as hotels, vehicle rental agencies, communications providers, credit institutions and the like, whereby mileage points are also awarded in relation to other business transactions. Typically, participants are provided with monthly statements apprising them of the updated status of their frequent flyer account. After the user has accumulated a predetermined number of mileage points, they may be redeemed for an award. Similarly, banking, credit and retail institutions have their own loyalty programs in which credit points are accumulated in relation to the dollar value of accumulated purchases. These types of programs generally require the use of a specialized loyalty card or another transaction card, such as a credit or debit card. The cardholder is periodically provided with an account statement and may be rewarded with redeemable credit in recognition of past transactions.
Most incentive or loyalty programs operate using batch processing systems and provide reports updating the award status on a periodic basis. More recently, real-time systems have been implemented. Real-time systems for loyalty programs generally involve retrieving customer or member information from a loyalty card, at a point of sale terminal, and conveying the customer identification and transaction information to a centralized database via phone lines or other high-speed networks. In real-time systems, the customer's shopping information is updated instantly, and updated point totals may be provided at the register. This process provides immediate feedback to the customer, indicating that the purchase is being rewarded, thereby encouraging and promoting future visits.
U.S. Pat. Nos. 5,774,870 and 6,009,412 disclose an integrated on-line frequency award program in which a user may access the program on-line, browse a product catalog, and electronically place an order. A program checks the user's credit and electronically issues a purchase order to the supplying company. A program calculates award points, updates the award account and communicates the number of awarded points to the user. Users may electronically redeem their reward by applying awarded points to items in an award catalog, wherein the program electronically places an award redemption order with the fulfillment house and updates the user's account.
U.S. Pat. No. 5,923,016 discloses a computer implemented consumer transaction point accumulation system in which a consumer earns and accumulates points for immediate use during transactions at participating retailer outlets. For every transaction, a customer's identification number is transmitted to a host database, which stores customer balances of points accumulated to date. The system is implemented locally at a point-of-transaction device and in an off-site and decentralized environment. Point accumulation cards are issued for customer identification, and optionally, the system may identify customers via credit cards to access a customer's loyalty account. As consumers make purchases, the system awards points in the form of redeemable coupons and/or gift certificates, preferably in real-time, which can be redeemed for reductions in purchase prices or other awards. Points are awarded in relation to dollar amount spent.
U.S. Pat. No. 6,014,635 describes a system in which cash discounts are awarded in real-time during credit card transactions. A unique membership identifier is used to process a discount transaction in parallel with the standard credit card authorization portion of a transaction.
U.S. Pat. No. 6,055,573 discloses an on-line method, system and computer product for delivering a targeted advertisement to a consumer based on the customer's offline purchase history. The targeted advertisement is then directed over a computer network to the individual consumer's personal computer. Additionally, the targeted advertisement may include a promotional incentive offering the consumer a reward for complying with a given type of behavior, such as a minimum number of purchases, and wherein the reward may be redeemed at a retail store.
U.S. Pat. No. 6,061,660 describes an incentive program and award system for using a computer network, preferably the Internet, to provide consumer access to expanded incentive programs using a conventional computer, to permit sponsors to build, buy, store, modify, offer, track and administer incentive programs and to permit sponsors and retailers to offer improved award fulfillment for participants in incentive programs.
U.S. Pat. No. 6,070,147 discloses methods and systems for administering a frequent buyer loyalty program wherein a frequent buyer redemption card consists of a government-issued identification card, such as a driver's license. Information derived from the government-issued identification card is used to access third party databases to gather further identification or demographic information about customers. Information derived from third party databases would be employed to implement a loyalty program.
In general, conventional marketing programs, and in particular loyalty programs, are simplistic in design and operation, taking into account only a small fraction of transaction, customer and merchant information in the design and implementation of award systems. For example, conventional loyalty marketing programs apply broad-based, one-dimensional rules equally to all customers. Rather than simply award benefits based on one or two simplistic criteria, such as dollar amount spent per transaction, or item purchased, the present invention provides marketing programs that are rich and complex in detail and diversity, permitting merchants to offer custom-designed marketing programs tailored toward influencing customer behavior. Determining what qualifying behavior is required of customers is dependent upon the particular marketing goals of each individual merchant. As a result, the present invention offers a nearly limitless variety of possible marketing programs. Systems and methods of the present invention also provide unique Award Accelerator Programs, which award benefits to customers in an accelerated or decelerated fashion, whereby benefits are different for successive transactions.